Exhibit 99.1

Alibaba Group Announces September Quarter 2021Results

Hangzhou, China, November 18, 2021 – Alibaba Group HoldingLimited (NYSE: BABA and HKEX: 9988, “Alibaba” or “Alibaba Group”) today announced its financial results for thequarter ended September

30, 2021.

“This quarter, Alibaba continued to firmly investinto our three strategic pillars of domestic consumption, globalization, and cloud computing to establish solid foundations for our long-termgoal of sustainable growth in the future,” said Daniel Zhang, Chairman and Chief Executive Officer of Alibaba Group. “Ourglobal annual active consumers across the Alibaba Ecosystem reached approximately 1.24 billion, with a quarterly net increase of 62 millionconsumers, and we are on track to achieve our longer-term target of serving two billion consumers globally.”

“We recorded revenue growthof 29% year-over-year, driven by performance of our diversified businesses,” said Maggie Wu, Chief Financial Officer of AlibabaGroup. “During this quarter, our continued investments in key strategic areas have resulted in robust growth for these young businesses.”

BUSINESS HIGHLIGHTS

In the quarter ended September 30, 2021:

Reconciliations of GAAP measures to non-GAAP measurespresented above are included at the end of this results announcement.

Guidance

The guidance below is a forward-looking statement that reflectsassumptions that we believe to be reasonable as of the date of this announcement and involve inherent risks and uncertainties, many ofwhich we are not able to predict or control. Based on our current view of macroeconomic conditions and the competitive landscape, andsubject to the uncertainties highlighted under the section entitled “Safe Harbor Statements” below, we are revising our fiscalyear 2022 revenue guidance. We expect our fiscal year 2022 revenue to grow 20% to 23% year-over-year.

BUSINESS AND STRATEGIC UPDATES

Commerce

China Retail Marketplaces – comprehensive product supplyand engaging user experience to target the diverse demands of consumers in China

For the twelve months ended September 30, 2021, therewere approximately 863 million AACs on our China retail marketplaces and New Retail businesses, with increasing percentage of new consumersfrom lower-tier cities, which reflect our success in broadening product offerings to meet diverse consumer demand.

For the quarter ended September 30, 2021, we recordedsingle-digit physical goods GMV year-over-year growth, primarily due to slowing market conditions and more players in the China e-commercemarket. By categories, physical goods GMV growth was slower in the apparel and accessories category, but continued to be resilient inthe consumer electronics and home furnishing categories.

Taobao Deals (淘特) continues to exhibitrobust user growth by providing consumers with more high quality, value-for-money products, enriching food and beverage offerings sourcedfrom our Community Marketplaces business, and reducing delivery costs as well as improving delivery experience for consumers in lower-tiercities. For example, Taobao Deals launched programs that incentivize bundling purchases of products delivered from self-operated warehouses,which reduce costs and improve delivery experience for consumers. For the twelve months ended September 30, 2021, there were over 240million AACs on Taobao Deals with increasing percentage of new consumers from lower-tier cities.

In November 2021, we celebrated the thirteenth annual 11.11Global Shopping Festival, which generated RMB540.3 billion in GMV, excluding unpaid orders, during the 11-day campaign. We areleveraging the power of the festival as a platform to fulfill our social responsibility and build a sustainable future. Thisyear’s festival is also more inclusive. Among a record of 290,000 brands that participated in the 11.11 Global ShoppingFestival this year, 65% are small and medium-sized businesses, manufacturers from industrial belts and new brands. In addition, adedicated eco-friendly vertical on Tmall featured 500,000 products with official Green Product Certification from more than 2,000merchants.

New Retail – multi-format New Retail businesses built onan expanding digital supply chain and increasingly diversified fulfillment services

Our Community Marketplaces business continues to expandcoverage into lower-tier cities and grow rapidly, with GMV growing over 150% quarter-over-quarter. We continue to strengthen consumerexperience by enhancing quality product supply and on-time delivery. In this business, we are able to leverage the supply chain capabilitiesof Sun Art, which has strong regional procurement and supply chain capabilities in the perishables, FMCG and general merchandise categories.

Local Consumer Services – healthy order growth supportedby growing merchant base

During the quarter, Ele.me continued to invest in useracquisitions and user experience enhancements that resulted in strong AAC growth of 28% year-over-year. Order volume growth was also strongat over 30% year-over-year, with increasing percentage from non-restaurant orders, driven by fast growth in number of merchants as wellas user penetration. Order growth was particularly strong in the grocery and healthcare categories.

Cainiao Network – improving efficiency across the AlibabaEcosystem and the logistics industry in China and internationally

Cainiao Network continues to expand its global infrastructureby strengthening its end-to-end logistics capabilities, including international freight service, destination warehousing and fulfilment,and last-mile delivery service enablement. As of September 30, 2021, Cainiao operated over 3 million square meters of warehouses dedicatedto cross-border businesses. Cainiao has launched initiatives to improve the shopping experience for international consumers by launchingself-pickup lockers in four European countries where AliExpress has operations.

Cainiao Post continues to expand its coverage into less-developedareas of China to improve delivery efficiency. As of September 30, 2021, Cainiao Post covered more than 1,000 counties and towns in less-developed areas of China with the number of daily packages handled in these markets growing over 280% year-over-year.

International Commerce – robust growth of multiple platformsin key international markets

In September 2021, our international commerce retailbusiness, mainly including Lazada, AliExpress, Trendyol and Daraz, grew rapidly to achieve approximately 285 million AACs in the twelvemonths ended September 30, 2021, representing a quarterly net increase of 20 million. Both international commerce retail and internationalcommerce wholesale demonstrated a robust growth in the September quarter, with aggregate year-over-year revenue increase of 34% to RMB15,092million (US$2,342 million).

Lazada, our Southeast Asia e-commerce platform, continuesto empower brands and merchants with localized market insights and to accelerate onboarding of local merchants in their respective markets.The increase in assortment of local and global product supply has resulted in stronger consumer mindshare and user stickiness as evidencedby improving user visit frequency for the last seven consecutive quarters. For the quarter ended September 30, 2021, Lazada recorded over82% year-over-year order growth.

Trendyol, the biggest e-commerce platformin Turkey with best-in-class in-house logistics, is rapidly growing its local services and wallet businesses. Trendyol has a leadingmarket position in Turkey and recorded robust GMV growth of over 80% year-over-year based on constant currency in the quarter ended September30, 2021.

Cloud Computing

In the September quarter, our cloudcomputing revenue grew 33% year-over-year to RMB20,007 million (US$3,105 million), primarily driven by strong growth in revenue fromcustomers in the Internet, financial services and retail industries.

Products

During our 2021 Apsara Conference heldin October, we unveiled several new products and technology upgrades. Highlights include:

Technology

Alibaba Cloud’s unique advantagesare its proprietary technology and Alibaba Group’s continued commitment to invest in research and development in new product offeringsand industry-specific solutions for our customers and partners. Highlights of our proprietary technologies in the quarter include:

Digital Media and Entertainment

In the September quarter, Youku’sdaily average subscriber base increased 14% year-over-year, driven primarily by quality content and continued contribution from the 88VIPmembership program.

Alibaba Pictures has consistently shownits solid track record in content investment and distribution. For example, Alibaba Pictures participated in the production and distributionof almost all of China’s major box office hits during the Golden Week holiday in October.

Cash Flow from Operating Activitiesand Free Cash Flow

In the quarter ended September 30, 2021,net cash provided by operating activities was RMB35,830 million (US$5,561 million), a decrease of 34% compared to RMB54,296 million inthe same quarter of 2020. Free cash flow, a non-GAAP measurement of liquidity, decreased by 45% to RMB22,239 million (US$3,451 million),from RMB40,540 million in the same quarter of 2020, mainly due to a decrease in profit as a result of our increased investments in keystrategic areas. A reconciliation of net cash provided by operating activities to free cash flow is included at the end of this resultsannouncement.

Share Repurchases

During the September quarter, we repurchasedapproximately 26.9 million of our ADSs (the equivalent of approximately 214.9 million of our ordinary shares) for approximately US$5,147.5million under our share repurchase program.

SEPTEMBER QUARTER SUMMARYFINANCIAL RESULTS

SEPTEMBER QUARTER INFORMATIONBY SEGMENTS

The table below sets forth selected financial informationof our operating segments for the periods indicated:

SEPTEMBERQUARTER OPERATIONAL AND FINANCIAL RESULTS

Revenue

Revenue for the quarter ended September 30, 2021 wasRMB200,690 million (US$31,147 million), an increase of 29% compared to RMB155,059 million in the same quarter of 2020. The increase wasmainly driven by the revenue growth of our China commerce retail business, which includes the consolidation of Sun Art starting in October2020, and the revenue growth of our cloud computing business. Excluding the consolidation of Sun Art, our revenue would have grown 16%year-over-year to RMB180,438 million (US$28,004 million).

The following table sets forth a breakdown of our revenueby segment for the periods indicated:

Commerce

Revenue from our China commerce retail business in thequarter ended September 30, 2021 was RMB126,827 million (US$19,683 million), an increase of 33% compared to RMB95,470 million in the samequarter of 2020. Customer management revenue grew 3% year-over-year, primarily due to single-digit physical goods GMV growth that resultedfrom slowing market conditions and more players in the China e-commerce market.

“Others” revenue under China commerceretail business was RMB55,132 million (US$8,556 million), achieving year-over-year growth of 111% compared to RMB26,132 million in thesame quarter of 2020. The increase was primarily driven by the consolidation of Sun Art, as well as the contributions from our directsales businesses, such as Tmall Supermarket and Freshippo.

Revenue from our China commerce wholesale business inthe quarter ended September 30, 2021 was RMB4,174 million (US$648 million), an increase of 15% compared to RMB3,637 million in the samequarter of 2020. The increase was primarily due to increase in paying members’ spending on value-added services on 1688.com.

Revenue from our international commerce retail businessin the quarter ended September 30, 2021 was RMB10,375 million (US$1,610 million), an increase of 33% compared to RMB7,789 million in thesame quarter of 2020. The increase was primarily due to the growth in revenue generated by Lazada and AliExpress.

Revenue from our international commerce wholesalebusiness in the quarter ended September 30, 2021 was RMB4,717 million (US$732 million), an increase of 34% compared to RMB3,510million in the same quarter of 2020. The increase was primarily due to increases in both the number of paying members and averagerevenue from paying members on Alibaba.com, as well as an increase in revenue generated by cross-border related value-addedservices.

Revenue from Cainiao Network’s logistics services,which represents revenue from its domestic and international one-stop-shop logistics services and supply chain management solutions, afterelimination of inter-company transactions, was RMB9,846 million (US$1,528 million) in the quarter ended September 30, 2021, an increaseof 20% compared to RMB8,226 million in the same quarter of 2020, primarily due to the increase in volume of orders fulfilled from ourfast growing cross- border and international commerce retail businesses.

Revenue from Local Consumer Services, which primarilyrepresents platform commissions, fees from provision of delivery services and other services provided by Ele.me and after eliminationof inter-company transactions which includes services provided to our New Retail businesses, was RMB9,513 million (US$1,476 million)in the quarter ended September 30, 2021, an increase of 8% compared to RMB8,839 million in the same quarter of 2020, primarily due toan increase in GMV, partly offset by an increase in subsidies that was contra revenue.

Cloud computing

Revenue from our cloud computing business in thequarter ended September 30, 2021 was RMB20,007 million (US$3,105 million), an increase of 33% compared to RMB15,029 million in thesame quarter of 2020, primarily driven by strong growth in revenue from customers in the Internet, financial services and retailindustries.

Digitalmedia and entertainment

Revenuefrom our digital media and entertainment segment in the quarter ended September 30, 2021 was RMB8,081 million (US$1,254 million),compared to RMB8,066 million in the same quarter of 2020.

Innovationinitiatives and others

Revenuefrom innovation initiatives and others in the quarter ended September 30, 2021 was RMB1,432 million (US$223 million), an increase of37% compared to RMB1,042 million in the same quarter of 2020.

Costsand Expenses

Thefollowing tables set forth a breakdown of our costs and expenses, share-based compensation expense and costs and expenses excluding share-basedcompensation expense by function for the periods indicated.

Costof revenue – Cost of revenue in the quarter ended September 30, 2021 was RMB129,750 million (US$20,137 million), or64% of revenue, compared to RMB89,960 million, or 58% of revenue, in the same quarter of 2020. Without the effect of share-based compensationexpense, cost of revenue as a percentage of revenue would have increased from 54% in the quarter ended September 30, 2020 to 63% in thequarter ended September 30, 2021. The increase was primarily attributable to the higher proportion of our direct sales businesses, mainlyfrom the consolidation of Sun Art, which resulted in increased cost of inventory.

Productdevelopment expenses – Product development expenses in the quarter ended September 30, 2021 were RMB15,297 million (US$2,374million), or 8% of revenue, compared to RMB19,245 million, or 12% of revenue, in the same quarter of 2020. Without the effect of share-basedcompensation expense, product development expenses as a percentage of revenue would have remained stable at 6% in the quarter ended September30, 2021 and the same quarter last year.

Salesand marketing expenses – Sales and marketing expenses in the quarter ended September 30, 2021 were RMB28,857 million (US$4,479million), or 14% of revenue, compared to RMB17,371 million, or 11% of revenue, in the same quarter of 2020. Without the effect of share-basedcompensation expense, sales and marketing expenses as a percentage of revenue would have increased from 9% in the quarter ended September30, 2020 to 13% in the quarter ended September 30, 2021. The increase was primarily due to an increase in marketing and promotional spendingfor user acquisition and engagement for our mobile commerce apps, such as Taobao Deals, Taobao, Lazada and Ele.me.

Generaland administrative expenses – General and administrative expenses in the quarter ended September 30, 2021 were RMB8,874 million(US$1,377 million), or 5% of revenue, compared to RMB11,961 million, or 8% of revenue, in the same quarter of 2020. Without the effectof share-based compensation expense, general and administrative expenses as a percentage of revenue would have remained stable at 4%in the quarter ended September 30, 2021 and the same quarter last year.

Share-basedcompensation expense – Total share-based compensation expense included in the cost and expense items above in the quarter endedSeptember 30, 2021 was RMB10,121 million (US$1,571 million), a decrease of 59% compared to RMB24,694 million in the same quarter of 2020.Share-based compensation expense as a percentage of revenue decreased to 5% in the quarter ended September 30, 2021, as compared to 16%in the same quarter last year.

The following table sets forth our analysis of share-basedcompensation expense for the quarters indicated by type of share-based awards:

Share-based compensation expense related to AlibabaGroup share-based awards increased in this quarter compared to the previous quarter, mainly due to the full quarter effect of the expensearising from the annual performance-based awards granted in the middle of the previous quarter.

Share-based compensation expenserelated to Ant Group share-based awards decreased significantly in this quarter as compared to the quarter ended September 30, 2020, mainlydue to the recognition of an increase in the value of these awards in the quarter ended September 30, 2020.

We expect that our share-based compensation expensewill continue to be affected by changes in the fair value of the underlying awards and the quantity of awards we grant in the future.

Amortization of intangible assets –Amortization of intangible assets in the quarter ended September 30, 2021 was RMB2,906 million (US$451 million), an increase of 1%from RMB2,888 million in the same quarter of 2020.

Income from operations and operating margin

Income from operations in the quarter ended September30, 2021 was RMB15,006 million (US$2,329 million), or 7% of revenue, an increase of 10% compared to RMB13,634 million, or 9% of revenue,in the same quarter of 2020, primarily due to a RMB15,690 million decrease in share-based compensation expense related to Ant Group share-basedawards granted to our employees.

Adjusted EBITDA and Adjusted EBITA

Adjusted EBITDAdecreased 27% year-over-year to RMB34,840 million (US$5,407 million) in the quarter ended September 30, 2021, compared to RMB47,525million in the same quarter of 2020. Adjusted EBITA decreased 32% year-over-year to RMB28,033 million (US$4,351 million) in thequarter ended September 30, 2021, compared to RMB41,216 million in the same quarter of 2020. The year-over-year decreases wereprimarily due to our increased investments in key strategic areas, such as Taobao Deals, Local Consumer Services, CommunityMarketplaces and Lazada, that have exhibited robust growth in operations, as well as our support to merchants. A reconciliation ofnet income to adjusted EBITDA and adjusted EBITA is included at the end of this results announcement.

Adjusted EBITA and adjusted EBITA marginby segments

Adjusted EBITA and adjusted EBITAmargin by segments are set forth in the table below. See the section entitled “Information by Segments” above for a reconciliationof income (loss) from operations to adjusted EBITA.

Commerce segment – Adjusted EBITAdecreased by 28% to RMB33,270 million (US$5,163 million) in the quarter ended September 30, 2021, compared to RMB45,958 million in thesame quarter of 2020, primarily due to our increased investments in key strategic areas, such as Taobao Deals, Local Consumer Services,Community Marketplaces and Lazada, to strengthen consumer experience, enhance loyalty, penetrate into less-developed areas in China andfurther expand our presence internationally. Commerce adjusted EBITA before key strategic investments was RMB52,241 million (US$8,108million), compared to RMB52,354 million in the same quarter of 2020, primarily reflecting our support to merchants as well as increasedspending on user acquisition and engagement on our marketplaces.

Adjusted EBITA margin decreased from 35% in the quarterended September 30, 2020 to 19% in the quarter ended September 30, 2021, primarily due to the consolidation of Sun Art and our increasedinvestments in key strategic areas.

Starting from the quarter ended March 31, 2021, for purposesof presenting our commerce adjusted EBITA before key strategic investments, we expanded the list of key strategic investment areas thatwe break out in order to present the progress of these areas. Comparative figures are presented in the same manner accordingly. A reconciliationof adjusted EBITA for commerce to commerce adjusted EBITA before key strategic investments is included at the end of this results announcement.

We expect that our commerce adjusted EBITA margin willcontinue to be affected by the pace of our investment in key strategic areas and growth initiatives, as well as the growth of our directsales businesses.

Cloud computing segment – Adjusted EBITA was a profit of RMB396 million (US$61 million) in the quarter ended September 30, 2021, compared to a lossof RMB567 million in the same quarter of 2020, primarily attributable to the realization of economies of scale.

Beginning on April 1, 2021, we reclassifiedthe results of our DingTalk business, which was previously reported under the innovation initiatives and others segment, to the cloudcomputing segment. This reclassification conforms to the way that we manage and monitor segment performance and reflects the integrationof DingTalk with Alibaba Cloud to further facilitate the digital transformation of our enterprise customers. Comparative figures werereclassified to conform to this presentation. Because DingTalk remains in the investment phase, the reclassification of DingTalk’sfinancials resulted in lowering of cloud computing profitability and did not materially add to revenue.

Digital media and entertainment segment –Adjusted EBITA in the quarter ended September 30, 2021 was a loss of RMB931 million (US$144 million), compared to a loss of RMB710million in the same quarter of 2020. Adjusted EBITA margin was negative 12% in the quarter ended September 30, 2021, compared to negative9% in the quarter ended September 30, 2020.

Innovation initiativesand others segment – Adjusted EBITA in the quarter ended September 30, 2021 was a loss of RMB2,882 million (US$447 million),compared to a loss of RMB1,970 million in the same quarter of 2020, primarily due to our investments in technology and innovation.

Interest and investment income, net

Interest and investment income, net in the quarterended September 30, 2021 was a loss of RMB11,456 million (US$1,778 million), compared to an income of RMB10,510 million in the same quarterof 2020, primarily due to net losses arising from changes in market prices of our equity investments in publicly- traded companies inthe quarter ended September 30, 2021, compared to net gains in the same quarter of 2020.

The above-mentioned gains and losses were excluded fromour non-GAAP net income.

Other income, net

Other income, net in the quarter ended September 30,2021 was RMB1,663 million (US$258 million), compared to RMB1,148 million in the same quarter of 2020, primarily due to the increase innet exchange gain.

Income tax expenses

Income tax expenses in the quarter endedSeptember 30, 2021 were RMB6,087 million (US$944 million), compared to RMB1,911 million in the same quarter of 2020. In the quarterended September 30, 2020, tax expenses were reduced by approximately RMB6.1 billion because during that quarter certain subsidiarieswere officially notified that they were approved of the Key Software Enterprise status for calendar year 2019, which entitled themto a reduced tax rate of 10%. These subsidiaries did not obtain the Key Software Enterprise status for calendar year 2020, andtherefore no such adjustment of tax expenses was made in this quarter.

Excluding share-based compensation expense, revaluationand disposal gains/losses of investments, impairment of investments, as well as the deferred tax effects on basis differences arisingfrom our share of results of equity method investees, our effective tax rate would have been 24% in the quarter ended September 30, 2021.

Share of results of equity method investees

Share of results of equity method investees in the quarterended September 30, 2021 was RMB5,518 million (US$856 million), compared to RMB4,244 million in the same quarter of 2020. Share of resultsof equity method investees in the quarter ended September 30, 2021 and the comparative periods consisted of the following:

We record our share of results of all equity methodinvestees one quarter in arrears. The year-over-year increase in share of profit of Ant Group was mainly due to an increase in net gainsarising from fair value changes in the investments held by Ant Group. The decrease in share of results of other equity method investeeswas mainly due to the general decline in financial performance of our equity method investees.

Net income and Non-GAAP net income

Our net income in the quarter endedSeptember 30, 2021 was RMB3,377 million (US$524 million), a decrease of 87% compared to RMB26,524 million in the same quarter of2020. The year-over-year decrease was primarily due to net losses arising from changes in market prices of our equity investments inpublicly- traded companies in the quarter ended September 30, 2021, compared to net gains in the same quarter of 2020, as well asour increased investments in key strategic areas and support to merchants, partly offset by the decrease in share-based compensationexpense related to Ant Group share-based awards granted to our employees.

Excluding share-based compensation expense,revaluation and disposal gains/losses of investments, impairment of investments and certain other items, non-GAAP net income in thequarter ended September 30, 2021 was RMB28,524 million (US$4,427 million), a decrease of 39% compared to RMB47,088 million in thesame quarter of 2020. A reconciliation of net income to non-GAAP net income is included at the end of this results announcement.

Net income attributable to ordinary shareholders

Net income attributable to ordinary shareholdersin the quarter ended September 30, 2021 was RMB5,367 million (US$833 million), a decrease of 81% compared to RMB28,769 million in thesame quarter of 2020. The year-over-year decrease was primarily due to net losses arising from changes in market prices of our equityinvestments in publicly-traded companies in the quarter ended September 30, 2021, compared to net gains in the same quarter of 2020,as well as our increased investments in key strategic areas and support to merchants, partly offset by the decrease in share-based compensationexpense related to Ant Group share- based awards granted to our employees.

Diluted earnings per ADS/share and non-GAAPdiluted earnings per ADS/share

Diluted earnings per ADS in the quarterended September 30, 2021 was RMB1.97 (US$0.31) on a weighted average of 21,794 million diluted shares outstanding during thequarter, a decrease of 81% compared to RMB10.48 on a weighted average of 21,962 million diluted shares outstanding during the samequarter in 2020. Excluding share-based compensation expense, revaluation and disposal gains/losses of investments, impairment ofinvestments and certain other items, non-GAAP diluted earnings per ADS in the quarter ended September 30, 2021 was RMB11.20(US$1.74), a decrease of 38% compared to RMB17.97 in the same quarter of 2020.

Diluted earnings per share in the quarter ended September30, 2021 was RMB0.25 (US$0.04 or HK$0.30), a decrease of 81% compared to RMB1.31 in the same quarter of 2020. Excluding share-based compensationexpense, revaluation and disposal gains/losses of investments, impairment of investments and certain other items, non-GAAP diluted earningsper share in the quarter ended September 30, 2021 was RMB1.40 (US$0.22 or HK$1.68), a decrease of 38%, compared to RMB2.25 in the samequarter of 2020.

A reconciliation of diluted earnings per ADS/shareto non-GAAP diluted earnings per ADS/share is included at the end of this results announcement. Each ADS represents eight ordinary shares.

Cash, cash equivalents and short-terminvestments

As of September 30, 2021, cash, cash equivalents andshort-term investments were RMB443,428 million (US$68,819 million), compared to RMB470,824 million as of June 30, 2021. The decrease incash, cash equivalents and short-term investments during the quarter ended September 30, 2021 was primarily due to cash used in repurchaseof ordinary shares of RMB33,174 million (US$5,149 million) and investment and acquisition activities of RMB22,950 million (US$3,562 million),partly offset by free cash flow generated from operations of RMB22,239 million (US$3,451 million) and cash injection from noncontrollinginterests of RMB9,691 million (US$1,504 million).

Cash flow from operating activities andfree cash flow

Net cash provided by operating activitiesin the quarter ended September 30, 2021 was RMB35,830 million (US$5,561 million), a decrease of 34% compared to RMB54,296 million inthe same quarter of 2020. Free cash flow, a non-GAAP measurement of liquidity, in the quarter ended September 30, 2021 decreased by45% to RMB22,239 million (US$3,451 million), from RMB40,540 million in the same quarter of 2020, mainly due to a decrease in profitas a result of our increased investments in key strategic areas. A reconciliation of net cash provided by operating activities tofree cash flow is included at the end of this results announcement.

Net cash used in investing activities

During the quarter ended September 30,2021, net cash used in investing activities of RMB29,773 million (US$4,621 million) primarily reflected (i) cash outflow ofRMB22,950 million (US$3,562 million) for investment and acquisition activities, and (ii) capital expenditures of RMB15,938 million(US$2,474 million), which included cash outflow for acquisition of land use rights and construction in progress relating to officecampuses of RMB3,261 million (US$506 million), partly offset by a decrease in short-term investments by RMB7,968 million (US$1,237million),

Employees

As of September 30, 2021, we had a total of 258,578 employees,compared to 254,702 as of June 30, 2021.

WEBCAST AND CONFERENCE CALL INFORMATION

Alibaba Group’s management will hold a conferencecall to discuss the financial results at 7:30 a.m. U.S. Eastern Time (8:30 p.m. Hong Kong Time) on November 18, 2021.

Details of the conference call are as follows:

International:+65 6713 5330

U.S.: +1 347 549 4094

U.K.: +44 203 713 5084

Hong Kong SAR: +852 3018 8307

China Landline: 800 820 2079

China Mobile: 400 820 6895

Conference ID: 7764117 (English)

Conference ID: 3674549 (simultaneous interpretation in Chinese,listen only mode)

A live webcast of the earnings conference callcan be accessed at http://www.alibabagroup.com/en/ir/earnings. An archived webcast will be available through the same link followingthe call. A replay of the conference call will be available for one week (dial-in number: +61 2 8199 0299; same conference ID as shownabove).

Our results announcement and accompanying slidesare available at Alibaba Group’s Investor Relations website at http://www.alibabagroup.com/en/ir/home from November 18,2021.

ABOUT ALIBABA GROUP

Alibaba Group’s mission is to make it easy todo business anywhere. The company aims to build the future infrastructure of commerce. It envisions that its customers will meet, workand live at Alibaba, and that it will be a good company that lasts for 102 years.

CONTACTS

Investor Relations Contact:
Rob Lin
investor@alibabagroup.com

Media Contacts:

Cathy Yan
cathy.yan@alibaba-inc.com

Liyan Chen
liyan.chen@alibaba-inc.com

Brion Tingler
brion.tingler@alibaba-inc.com

EXCHANGE RATE INFORMATION

This results announcement contains translationsof certain Renminbi (“RMB”) amounts into U.S. dollars (“US$”) and Hong Kong dollars (“HK$”) for theconvenience of the reader. Unless otherwise stated, all translations of RMB into US$ were made at RMB6.4434 to US$1.00, the exchangerate on September 30, 2021 as set forth in the H.10 statistical release of the Federal Reserve Board, and all translations of RMB intoHK$ were made at RMB0.83306 to HK$1.00, the middle rate on September 30, 2021 as published by the People’s Bank of China. The percentagesstated in this announcement are calculated based on the RMB amounts and there may be minor differences due to rounding.

SAFE HARBOR STATEMENTS

This announcement contains forward-lookingstatements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities LitigationReform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “potential,” “continue,” “ongoing,” “targets,” “guidance” and similar statements. In addition, statements that are not historical facts,including statements about Alibaba’s strategies and business plans, Alibaba’s beliefs, expectations and guidanceregarding the growth of its business and its revenue, the business outlook and quotations from management in this announcement, aswell as Alibaba’s strategic and operational plans, are or contain forward-looking statements. Alibaba may also makeforward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), inannouncements made on the website of The Stock Exchange of Hong Kong Limited (the “Hong Kong Stock Exchange”), in pressreleases and other written materials and in oral statements made by its officers, directors or employees to third parties.Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differmaterially from those contained in any forward-looking statement, including but not limited to the following: Alibaba’sability to maintain the trusted status of its ecosystem; risks associated with sustained investments in Alibaba’s business andstrategic acquisitions and investments; Alibaba’s expected revenue growth and ability to maintain or grow its revenue orbusiness; Alibaba’s ability to continue to compete effectively and maintain and improve the network effects of its ecosystem;company culture; Alibaba’s ability to continue to innovate; risks and challenges associated with operating a complex andlarge-scale company; risks associated with expanding our international and cross-border businesses and operations; fluctuations ingeneral economic and business conditions in China and globally; impacts of the COVID-19 pandemic; uncertainties arising fromcompetition among countries and geopolitical tensions, including protectionist or national security policies; changes in laws,regulations and regulatory environment that affect Alibaba’s business operations; risks associated with the performance of ourbusiness partners, including but not limited to Ant Group; privacy and data protection regulations and concerns; and securitybreaches, and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks isincluded in Alibaba’s filings with the SEC and announcements on the website of the Hong Kong Stock Exchange. All informationprovided in this results announcement is as of the date of this results announcement and are based on assumptions that we believe tobe reasonable as of this date, and Alibaba does not undertake any obligation to update any forward-looking statement, except asrequired under applicable law.

NON-GAAP FINANCIAL MEASURES

To supplement our consolidated financial statements,which are prepared and presented in accordance with GAAP, we use the following non-GAAP financial measures: for our consolidated results,adjusted EBITDA (including adjusted EBITDA margin), adjusted EBITA (including adjusted EBITA margin), commerce adjusted EBITA before keystrategic investments, non-GAAP net income, non-GAAP diluted earnings per share/ADS and free cash flow. For more information on thesenon-GAAP financial measures, please refer to the section entitled “Information about Segments” and the table captioned “Reconciliationsof Non-GAAP Measures to the Nearest Comparable U.S. GAAP Measures” in this results announcement.

We believe that adjusted EBITDA, adjustedEBITA, commerce adjusted EBITA before key strategic investments, non-GAAP net income and non-GAAP diluted earnings per share/ADShelp identify underlying trends in our business that could otherwise be distorted by the effect of certain income or expenses thatwe include in income from operations, net income and diluted earnings per share/ADS. We believe that these non-GAAP measures provideuseful information about our core operating results, enhance the overall understanding of our past performance and future prospectsand allow for greater visibility with respect to key metrics used by our management in its financial and operationaldecision-making. We present three different income measures, namely adjusted EBITDA, adjusted EBITA and non-GAAP net income, as wellas one measure that provides supplemental information on our commerce segment, namely commerce adjusted EBITA before key strategicinvestments, in order to provide more information and greater transparency to investors about our operating results.

We consider free cash flow to be a liquidity measurethat provides useful information to management and investors about the amount of cash generated by our business that can be used for strategiccorporate transactions, including investing in our new business initiatives, making strategic investments and acquisitions and strengtheningour balance sheet.

Adjusted EBITDA, adjusted EBITA, commerce adjusted EBITAbefore key strategic investments, non- GAAP net income, non-GAAP diluted earnings per share/ADS and free cash flow should not be consideredin isolation or construed as an alternative to income from operations, adjusted EBITA for commerce, net income, diluted earnings per share/ADS,cash flows or any other measure of performance or as an indicator of our operating performance. These non-GAAP financial measures presentedhere do not have standardized meanings prescribed by U.S. GAAP and may not be comparable to similarly titled measures presented by othercompanies. Other companies may calculate similarly titled measures differently, limiting their usefulness as comparative measures to ourdata.

Adjusted EBITDA represents net incomebefore (i) interest and investment income, net, interest expense, other income, net, income tax expenses and share of results of equitymethod investees, (ii) certain non-cash expenses, consisting of share-based compensation expense, amortization of intangible assets,depreciation of property and equipment and operating lease cost relating to land use rights, which we do not believe are reflective ofour core operating performance during the periods presented.

Adjusted EBITA represents net incomebefore (i) interest and investment income, net, interest expense, other income, net, income tax expenses and share of results of equitymethod investees, (ii) certain non-cash expenses, consisting of share-based compensation expense and amortization of intangible assets,which we do not believe are reflective of our core operating performance during the periods presented.

Commerce adjusted EBITA before key strategicinvestments represents adjusted EBITA for commerce excluding the effects of (i) New Retail businesses (primarily Community Marketplaces,Freshippo, Tmall Supermarket, Sun Art and Taoxianda), (ii) Local Consumer Services, (iii) Taobao Deals, (iv) Lazada, (v) Cainiao Network,and others. Commerce adjusted EBITA before key strategic investments reflects the performance of our most established businesses, namely,those of our China retail marketplaces and wholesale marketplaces. By excluding certain businesses that are in the earlier stages oftheir development and with business approaches that continue to evolve, commerce adjusted EBITA before key strategic investments enablesinvestors to clearly evaluate the performance of our most established businesses on a like-for-like basis.

Non-GAAP net income represents net incomebefore share-based compensation expense, amortization of intangible assets, impairment of investments, gain or loss on deemed disposals/disposals/revaluationof investments and others, as adjusted for the tax effects on non-GAAP adjustments.

Non-GAAP diluted earnings per share representsnon-GAAP net income attributable to ordinary shareholders divided by the weighted average number of shares outstanding during the periodson a diluted basis. Non-GAAP diluted earnings per ADS represents non-GAAP diluted earnings per share after adjustment to the ordinaryshare-to-ADS ratio.

Free cash flow represents net cash providedby operating activities as presented in our consolidated cash flow statement less purchases of property and equipment (excluding acquisitionof land use rights and construction in progress relating to office campuses) and intangible assets, as well as adjustments to excludefrom net cash provided by operating activities the consumer protection fund deposits from merchants on our marketplaces. We deduct certainitems of cash flows from investing activities in order to provide greater transparency into cash flow from our revenue-generating businessoperations. We exclude “acquisition of land use rights and construction in progress relating to office campuses” becausethe office campuses are used by us for corporate and administrative purposes and are not directly related to our revenue-generating businessoperations. We also exclude consumer protection fund deposits from merchants on our marketplaces because these deposits are restrictedfor the purpose of compensating consumers for claims against merchants.

The section entitled “Information about Segments”and the table captioned “Reconciliations of Non-GAAP Measures to the Nearest Comparable U.S. GAAP Measures” in this resultsannouncement have more details on the non-GAAP financial measures that are most directly comparable to GAAP financial measures and therelated reconciliations between these financial measures.

ALIBABA GROUP HOLDING LIMITED

UNAUDITED CONSOLIDATEDINCOME STATEMENTS

(1) Each ADS represents eight ordinary shares.

ALIBABA GROUP HOLDING LIMITED

REVENUE

The following table sets forth our revenue by segmentsfor the periods indicated:

ALIBABA GROUP HOLDING LIMITED
INFORMATION ABOUT SEGMENTS

The following table sets forthour income (loss) from operations by segments for the periods indicated:

The following table sets forthour adjusted EBITA by segments for the periods indicated:

ALIBABA GROUP HOLDING LIMITED

INFORMATION ABOUT SEGMENTS

The table below sets forth selected financial informationof our operating segments for the six months ended September 30, 2021: